Yingli Green Energy Contributes Additional Capital To Joint Venture With Baoding Tianwei
Yingli Green Energy Holding Company Ltd. ("Yingli Green Energy"), a vertically integrated photovoltaic product manufacturer in China, announced that it further amended the joint venture contract with Baoding Tianwei Baobian Electric Co., Ltd. under which Yingli Green Energy will contribute additional capital of RMB 1,750,840,000 (equivalent of US$236.6 million) to its principal operating subsidiary in China, Baoding Tianwei Yingli New Energy Resources Co., Ltd. ("Tianwei Yingli").
As a result of the Amendment and Ying Green Energy’s additional capital contribution upon approval of the relevant PRC governmental authorities. The registered capital of Tianwei Yingli will increase from RMB 1,624,380,000 to RMB3,375,220,000. Yingli Green Energy’s equity interest in Tianwei Yingli will increase from 70.11% to 74.01%; and the equity interest of Tianwei Baobian in Tianwei Yingli will correspondingly decrease from 29.89% to 25.99%.
As an intermediary step in anticipation of this additional capital contribution, the company had advanced part of the proceeds it received from its initial public offering completed in June 2007, in an aggregate amount of US$230.0 million, into Tianwei Yingli in the form of shareholder loans, which will be converted into part of the additional capital contribution contemplated under the Amendment as described above. The balance of the additional capital contribution will be made by the company within 60 days of approval by the relevant PRC governmental authorities.
